Debt Relief Options

Debt Consolidation

Unfortunately, a Debt Consolidation Loan is one of the most common solutions people think of when they fall into financial difficulties. This is a problem because most people who get a debt consolidation loan find themselves in much deeper financial trouble than they were in to begin with.

Debt consolidation loans transfer debt from one place to another. While this may sound good, since many times it can appear to lower your monthly payments, a debt consolidation loan will not reduce the amount you owe. We have yet to find someone who has solved their debt problems by borrowing more money through debt consolidation.

You will still pay back 100% of the debt consolidation loan, plus interest. The interest rate is sometimes lower than before, but this is because debt consolidation loans are usually secured loans that cannot be lowered or negotiated. Once you sign up for a debt consolidation loan, you have just gone from an unsecured debt to a secured debt and have put your personal assets (e.g. your car or home) at risk. At that point if you can't pay your bills your creditors can come and take your personal property - thus creating a bigger problem than you had to begin with.

We think the best solution is to deal with financial problems through debt reduction, not debt consolidation. This way you are dealing directly with the problem, not temporarily avoiding it.

Bankruptcy

Bankruptcy is a way to potentially get out of your debts. Unfortunately, it leaves a long lasting scar, and comes at a high price - financially, emotionally, and socially. It is a long and painful process and the repercussions can last for over a decade.

The financial impact is severe; bankruptcy will stay on your credit report for 10 years. Every time you apply for credit, whether it is a home, a car, a lease, or insurance, you will be impacted. The long-term effect of higher rates many times greatly outweighs the shorter-term impact of filing bankruptcy.

Additionally, most people do not realize that bankruptcy can stay on their court records for over 20 years - which means it can follow someone for the rest of their life. If you apply for a job, a loan, rent an apartment, or even insurance your bankruptcy filing is easily uncovered.

Bankruptcy is not an easy or even quick fix. It is a very serious decision with serious consequences. If you are considering bankruptcy, you should consider contacting a lawyer to discuss this option.

Our "Debt Reduction Program" is a great alternative to bankruptcy. Your credit rating is protected from bankruptcy and your debts are reduced. Best of all, your creditors accept our settlement amounts as payments in full, making you debt free without having to suffer the longer-term financial, emotional, and social impacts of a bankruptcy. Many of our clients are ecstatic to find an alternative to bankruptcy that still solves their debt problems.

Credit Card Monthly Payment

Unfortunately, millions of Americans who are struggling with their debts continue to just barely make their monthly payments. Most of these people just keep doing whatever they can to continue making minimum payments for the rest of their lives. If you are facing severe financial hardships, this is a no-win situation. If you are only meeting your minimum payments, you are paying almost entirely interest charges; not paying down your debts.

This means that if you owe $10,000 today, it will cost you more than $20,000 over the next 20-30 years before you are debt free. And if you can't keep making their minimum payments, the creditors will begin harassing you. If you don't find help, you could end up with judgments and garnished wages as well as liens against your property.

Our Debt Reduction Program allows you to minimize creditor calls, avoid bankruptcy, avoid new debt and come to an agreement with creditors on your terms, not theirs.

In our Debt Reduction Program we find the optimal solution for you; not your creditors. By working through a plan tailored to your specific situation, we can settle your debts over the next 2-3 years, and potentially at a 60% discount to what you currently owe.